Start using standard European For new creditors Introduction Why a new standard European What is the standard European What you need to do 1. Gather information about the standard European 2. Appoint a project manager and adopt a plan of approach 3. Conclude a standard European contract with your bank 4. Mandatory elements of standard European mandates 5. Design your authorisation forms (mandates) 6. Register the details of the mandates in your electronic records 7. Determine the impact of the refund period to your business processes Additional information Guidelines for invoicing and pre-notification Points for attention when submitting standard European batches Switching Service Direct Debit rejected; contact your customer Differences between the standard European and the European business-to-business
Introduction Why a new European The start of the Single Euro Payments Area ( 1 ) marked the beginning of a new phase in our payment transactions system. Instead of each country using its own payment products and procedures, Europe developed uniform payment products for payments in euros. This makes it much easier to arrange for payments to and from the various European countries. The new European payment products will also be used in The Netherlands. The European makes it possible to carry out collections from a single account, on the basis of a single contract, both within The Netherlands and across national borders. What is the standard European The European 2 enables you, as a creditor, to arrange for amounts to be automatically debited from the accounts of your debtors and credited to your own account. A major advantage is that you decide when you will receive the money. The use of the European is subjected to rules. For example, as a creditor you must conclude a European contract with your own bank. Once this has been set up, you must obtain authorisation forms (mandates) from your customers. These may be either for recurrent or one-off collections. Your clients must be in possession of a bank account in one of the countries. As soon as you have correctly registered the mandates, you can inform your customers about the date on which you will start debiting their account and the amount of the debit. You then submit your orders to your own bank. Your bank forwards these s to your customers banks. These banks then debit the amount you have specified from the accounts concerned on the date you have chosen, and remit the amounts to your bank. Finally, your bank credits the amount received to your account. Customers have right of refund Your customers have a right of refund. If they do not agree with a debited amount, they may contact their own bank within a period of 8 weeks to ask their bank to refund the amount concerned. Your bank will then debit the amount from your account. In addition to this standard European, banks also can offer a business-to-business variant of the European. Contact your bank for more information. 1 All countries of the European Union, supplemented with Norway, Iceland and Liechtenstein (which are members of the European Economic Area), Switzerland and Monaco. 2 Each bank may use its own name for the European, such as incasso, Euro-incasso etc.. 2
What you need to do 1. Gather information about the standard European Read this roadmap or go to www.betaalvereniging.nl. Contact your bank for detailed information. Plan of approach 2. Appoint a project manager and draw up a plan of approach sets starting date Decide who will be responsible within your own organization for the implementation of the standard European. Often several departments are involved, such as the financial accounting department and the IT department. Draw up a plan of approach in order to ensure a smooth start to your standard European operations. Of course, it is up to you to decide exactly when you will start. Creditor Identifier required 3. Conclude a standard European contract with your bank for standard European You conclude a standard European contract with your bank. You will receive a Creditor Identifier. The Creditor Identifier ensures that you will be recognized as creditor in a uniform manner throughout the area. You must send this Creditor Identifier with every instruction. Your debtor s bank will provide your Creditor Identifier to the debtor whenever it processes a standard European for you. If you change banks, you must continue using the Creditor Identifier originally issued to you. You hand over the certificate of your original Creditor Identifier to your new bank. Various ways of creating 4. Decide how you wish to generate your orders standard European In due course you must be able to instruct your bank about your orders, but orders first you have to generate them. You can do this in various ways: by using internet banking or a software package of your bank; by using a supplier s software package; Technical information for by using software you have developed yourself. The description of the file format developing your own IT solution XML ISO 20022 and the manual explaining how to use this when submitting instructions through a Dutch bank, can be found at www.betaalvereniging.nl 3. You should also contact your own bank for any additional information concerning the submission of European instructions. It is important to check the options regarding payment information about s and refunds you receive from the bank, as well as the automatic reconciliation of such refunds in your software package. 5. Design your authorisation forms (mandates) Before you start delivering instructions you must obtain valid mandates. Therefore you have to send your customers a request to make their payments by means of standard European in future, and to sign the enclosed mandate for this purpose. You may design the mandate yourself, but it should comply with a number of rules. At the next page you will find an overview of the obligatory elements that should, in any event, be included in a standard European authorisation form. 3 Check the document XML messages for Direct Debit Initiation Implementation Guidelines for The Netherlands. 3
Mandates contain a number of obligatory elements Mandatory elements of standard European mandates The word In case of recurrent collections: statement that the mandate is for recurrent collections period of refund In case of one-off collections: statement that the mandate is for a one-off collection period of refund Creditor Identifier <to be received from the bank with which the contract is concluded> The unique mandate reference to be entered by the creditor <maximum of 35 alphanumeric positions. Combined with the Creditor Identifier, this is the unique reference of the mandate; You can assign this in advance when you send the mandate or afterwards, after you have received the signed mandate. In the latter case, you must inform your customer of this reference before sending the first instruction to your bank> Standard text stating that the debtor authorises the creditor and the debtor s bank to debit his bank account <consult the exact text as mentioned in the examples of the authorisation forms in this roadmap> Name, address, city and country creditor IBAN debtor BIC of the bank of the debtor <fill out until February 1st 2016 for non-dutch IBAN> Name, address and city debtor <if the creditor and debtor are not resident in the same country, specify the country as well> Place and date of signature Signature debtor 4
Examples of authorisation forms for single (one-off) and recurrent collections Examples of authorisation forms for the standard European Direct Debit The document Voorbeelden van machtigingsformulieren at www.betaalvereniging.nl contains an overview of all examples. Machtiging voor standaard Europese incasso Machtigen is gemakkelijk: - U vergeet niet te betalen; - U houdt zeggenschap doordat u een afgeschreven bedrag binnen 8 weken terug kunt laten boeken; Een betaling met een standaard Europese incasso kan plaatsvinden als u daar zelf toestemming voor geeft door het afgeven van een machtiging. Noteer uw persoonlijke gegevens en datum op de aangehechte Groene machtigingskaart, zet uw handtekening en stuur de machtiging naar degene die u wilt betalen. Deze kan daarmee de betalingen automatisch van uw rekening laten afschrijven. U wordt voorafgaand aan een afboeking door de incassant geïnformeerd over het bedrag en moment van afschrijving. Als u het niet eens bent met een betaling, kunt u deze binnen 8 weken zonder opgaaf van reden terug laten boeken. Zie de Gele kaart voor nadere informatie. Machtigen: de makkelijke manier van betalen. Terugboeken? Neem contact op met uw bank. Indien u een doorlopende machtiging heeft afgegeven en u bent het niet eens met een afschrijving, kunt u deze laten terugboeken. Neem hiervoor binnen 8 weken na afschrijving contact op met uw bank. U kunt uw bank ook vóór het moment van afschrijving verzoeken om een standaard Europese incasso-opdracht tegen te houden. Als u van mening bent dat een bedrag ten onrechte van uw rekening is afgeschreven, omdat u geen machtiging heeft afgegeven, kunt u tot 13 maanden na datum afschrijving een verzoek indienen bij uw bank om dit te corrigeren. Informeer bij uw bank naar de voorwaarden. B..086 Deze kaart in een envelop verzenden naar het bedrijf of instelling waaraan de betaling wordt gedaan. Eenmalige machtiging Stichting DES Stationsstraat 17 Postcode 4336 XG Plaats Hoofddorp Land Nederland Incassant ID NL00ABC123456780000 Kenmerk machtiging Reden betaling Donatie Door ondertekening van dit formulier geeft u toestemming aan Stichting DES om een eenmalige incasso-opdracht te sturen naar uw bank om een bedrag van uw rekening af te schijven en aan uw bank om eenmalig een bedrag van uw rekening af te schrijven overeenkomstig de opdracht van Stichting DES. Als u het niet eens bent met deze afschrijving kunt u deze laten terugboeken. Neem hiervoor binnen 8 weken na afschrijving contact op met uw bank. Vraag uw bank naar de voorwaarden. Postcode Beethovenstraat 34 3851 AF Plaats Amstelveen Land IBAN BIC * Plaats en datum * Geen verplicht veld bij Nederlands IBAN. A. van den Bos N L 9 9 B A N K 1 2 3 4 5 6 7 8 9 0 BANK NL2A Amstelveen, 16 september 2013 Handtekening Nederland 5
Machtiging voor standaard Europese incasso Machtigen is gemakkelijk: - U vergeet nooit te betalen; - U bespaart uzelf de rompslomp van het steeds regelen van terugkerende betalingen; - U houdt zeggenschap doordat u een afgeschreven bedrag binnen 8 weken terug kunt laten boeken; - U kunt een machtiging ook weer eenvoudig intrekken. Een betaling met een standaard Europese incasso kan plaatsvinden als u daar zelf toestemming voor geeft door het afgeven van een machtiging. Noteer uw persoonlijke gegevens en datum op de aangehechte Groene machtigingskaart, zet uw handtekening en stuur de machtiging naar degene die u wilt betalen. Deze kan daarmee de betalingen automatisch van uw rekening laten afschrijven. U wordt voorafgaand aan een afboeking, bijvoorbeeld via het contract of bij een jaaroverzicht, door de incassant geïnformeerd over het bedrag en moment van afschrijving. Als u het niet eens bent met een betaling, kunt u deze binnen 8 weken zonder opgaaf van reden terug laten boeken. Zie de Gele kaart voor nadere informatie. U kunt de automatische betaling ook stoppen, bijvoorbeeld omdat u uw lidmaatschap of abonnement opzegt. U kunt dan de Rode kaart Intrekken machtiging gebruiken. U vult de kaart in, stuurt deze op naar de incassant en de afschrijvingen stoppen. Houd rekening met enige tijd voor verwerking. Machtigen: de makkelijke manier van betalen. Deze kaart in een envelop verzenden naar het bedrijf of instelling waaraan de betaling wordt gedaan. Intrekken machtiging Ondergetekende trekt hierbij de machtiging in die is verleend aan Postcode Plaats Land Incassant ID om van zijn/haar bankrekening bedragen af te schrijven wegens: Reden betaling Kenmerk machtiging * * Deze gegevens staan op uw rekeningafschrift of het overzicht dat u van de incassant heeft ontvangen. Postcode Plaats Land IBAN BIC ** Plaats en datum Handtekening ** Geen verplicht veld bij Nederlands IBAN. Terugboeken? Neem contact op met uw bank. Indien u een doorlopende machtiging heeft afgegeven en u bent het niet eens met een afschrijving, kunt u deze laten terugboeken. Neem hiervoor binnen 8 weken na afschrijving contact op met uw bank. U kunt uw bank ook vóór het moment van afschrijving verzoeken om een standaard Europese incasso-opdracht tegen te houden. Als u van mening bent dat een bedrag ten onrechte van uw rekening is afgeschreven, omdat u geen machtiging heeft afgegeven, kunt u tot 13 maanden na datum afschrijving een verzoek indienen bij uw bank om dit te corrigeren. Informeer bij uw bank naar de voorwaarden. B..085 Deze kaart in een envelop verzenden naar het bedrijf of instelling waaraan de betaling wordt gedaan. Doorlopende machtiging Assurantiekantoor G. van Witzen Rozenlaan 104 Postcode 4336 XG Plaats Aalsmeer Land Nederland Incassant ID NL00ABC123456780000 Kenmerk machtiging 5000056789012345 Reden betaling Levensverzekering Door ondertekening van dit formulier geeft u toestemming aan Assurantiekantoor G. van Witzen om doorlopende incasso-opdrachten te sturen naar uw bank om een bedrag van uw rekening af te schijven en aan uw bank om doorlopend een bedrag van uw rekening af te schrijven overeenkomstig de opdracht van Assurantiekantoor G. van Witzen. Als u het niet eens bent met deze afschrijving kunt u deze laten terugboeken. Neem hiervoor binnen 8 weken na afschrijving contact op met uw bank. Vraag uw bank naar de voorwaarden. Postcode Beethovenstraat 34 3851 AF Plaats Amstelveen Land IBAN BIC * Plaats en datum * Geen verplicht veld bij Nederlands IBAN. A. van den Bos N L 9 9 B A N K 1 2 3 4 5 6 7 8 9 0 BANK NL2A Amstelveen, 16 september 2013 Handtekening Nederland 6
So-called stoplichtkaarten remain available Standard forms to provide/withdraw mandates Debtors are more likely to issue a mandate if they can also easily withdraw it. For this purpose so called Stoplichtkaarten were developed (only in Dutch). Creditors are not obliged to use these standard cards. However, they may be used as a tool for obtaining the mandates. The Stoplichtkaarten are only available for the standard European and contain three sections: Green for the issuance of a mandate; Yellow for the refund of an individual transaction. This part is practically no longer in use. Using the standard European debtors may always ask their bank for a refund of a transaction within 8 weeks after the debit date; Red for the withdrawal of the mandate. The Stoplichtkaarten are available in different file-types. There is a print file for the purpose of merging customer data with mandates forms, but there is also an electronic version which can be filled individually. These, and other variants, can be downloaded from www.betaalvereniging.nl. If a creditor decides to use Stoplichtkaarten we recommend to inform - prior to distribution - at the bank whether this fits within the terms of the current European contract as agreed with the bank. Mandatory data must be 6. Register the details of the mandates in your electronic records recorded digitally as well The mandate is sent to and recorded by the creditor. The precise terms and conditions for use are part of the contract of the creditor and his bank. Once you have received the signed mandates from your customers, it is important to at least carefully record (digitally) the obligatory data from the mandates in your accounting system. You must send these data with every instruction. Data concerned are: Creditor Identifier. You will receive this identifier from your bank when concluding the European contract; unique mandate reference. This reference (in combination with your Creditor Identifier) ensures that all orders can be related to a specific mandate. You determine how the mandate reference is composed. However, the reference in combination with your Creditor Identifier should be unique, while it may consist of a maximum of 35 positions (alphanumeric). We recommend that you use existing data from your own accounting system for the mandate reference, for example a debtor number, a contract number or a policy number. If you have no data suitable for this purpose, you may use serial numbers; IBAN and BIC 4 of your debtor. You can use the IBAN BIC Service of the joint Dutch banks to request for the IBAN and the accompanying BIC. More information is available at www.ibanbicservice.nl; name and address of the debtor. If you receive mandates from customers in other countries, you should also record the country of the debtor; type of mandate: recurrent or one-off; date of signature of the mandate concerned. Paper mandate must be kept as official record You have to record the data digitally and you have to archive the original mandates. The filing time is at least 14 months after a mandate has been withdrawn by a debtor. Complaints concerning an invalid debit can be filed until 13 months after the date of the. In order to settle these correctly, it is necessary that the original mandate is available. 4 Until February 1st 2016 a BIC is mandatory in case of a non-dutch IBAN. 7
Make allowance for the 7. Determine the impact of the refund period to your business processes period of refund of 8 weeks In the standard European system your debtors have the right to request that their bank arranges a refund within 8 weeks of a. This period of refund of 8 weeks may possibly affect your business processes. You should not only consider your ability to process refunds up to 8 weeks after your batch has been credited, but also the payment terms you have agreed with your debtors (and possibly also with your suppliers). In some situations it may be advisable to change these payment terms and/or other contractual obligations. 8
Additional information Combine pre-notification with other customer communication Guidelines for invoicing and pre-notification Before you actually present the batch of the European s for processing, you have to inform your debtors in advance about the amount and the date of the collection. We advise you to mention your Creditor Identifier and the unique mandate reference as well. The bank of the debtor is obliged to mention these data when debiting the account for the standard European. You do not need to inform your debtors about this separately. A notification on the invoice or in another form of regular correspondence with your debtors is sufficient. You may send a separate pre-notification however most of the time an invoice or other regular correspondence with your debtors is the best solution. The European rules prescribe that you must send the invoice at least 14 days prior to the due/collection date, unless you have agreed a different period (shorter or longer) with your debtors. For example, it is possible to agree a set date (e.g. the 27th of each month) for fixed periodic amounts when the agreement is concluded. Naturally, you must give timely notice of any change in the amount and/or date. Check whether you and your debtor have agreed for a certain time limit or if you still want to capture it in this agreement or in the pre-notification. Time limits Points for attention when submitting standard European batches For sending the standard European orders different time limits apply. 5 business days before the desired collection date for: all one-off orders the first transaction from a series of recurrent orders 2 business days before the desired collection date for: all subsequent transactions from a series of recurrent orders Ask your bank about the exact time limits for supplying European batches and whether you can make a test delivery of a batch. Switching Service operational Switching Service Banks in The Netherlands offer the Switching Service which makes it easier for customers to switch from one bank to another. If you submit an European batch, the bank checks whether the account numbers have been submitted to the Switching Service. If so, the bank will forward the to the new bank. The bank will specify the new account number, so that the direct debit can be performed in the usual manner. You will subsequently receive notice from your own bank that the relevant account number has been changed. You will also receive the new IBAN and BIC. This notification of change is, is to be considered as a personal notification from your customer. You must enter the new data in your accounting system and file this notification of change with the original mandate. When performing the next order for the customer concerned, you must use the new account data and respect the timeline of a first transaction. Contact your customer if the cannot be processed Direct debit rejected; contact your customer It may occur that some orders cannot be processed. E.g. the account balance of the debtor is not sufficient, or the debtor s account has been blocked for s. You will then be notified by your own bank. If the account is blocked you should always contact your customer. Perhaps the account has been blocked temporarily, and you can resume the collections in the normal way for the following period. In other cases, however, you may find that the debtor is no longer willing or able to permit the. In that case you must switch to a different means of payment. On the next page you will find an overview of the differences between the standard European and the European business-to-business. 9
Differences between the standard European and the European business-to-business Reference Standard European European business-to-business To be used by Both private and business debtors Business debtors only Action debtor - Registers the mandate before the due date by his own bank Checks by the bank of the debtor Time limit for delivery of batches 5 Does the debtor s account accept the standard European 5 business days for the desired collection date: all one-off orders the first transaction from a series of recurrent orders 2 business days before the desired processing date for: all subsequent transactions from a series of recurrent orders Does the debtor s account accept the European business-to-business Has the debtor registered the mandate and thus authorised the execution of the (s) Does the mandate information in the transaction match the mandate information as registered by the debtor by his own bank 1 business day before the desired collection date: all orders Time limit for refusal by the debtor Refund by the bank of the debtor Refund by debtor Before the collection date of the Up to and including 5 business days after debit date Up to and including 8 weeks after settlement Up to and including the day of the collection date Up to and including 2 business days after debit date Not permitted 5 Note: According to European rules, the transactions should reach the bank of the debtor within the prescribed time limits. Ask your own bank about the exact time limits for supplying European batches. 10
Betaalvereniging Nederland Contact Contact your bank or visit www.betaalvereniging.nl. Betaalvereniging Nederland Gustav Mahlerplein 33-35 T +31 20 305 19 00 1082 MS Amsterdam F +31 20 305 19 12 Postbus 83073 info@betaalvereniging.nl 1080 AB Amsterdam www.betaalvereniging.nl 11